WallStSmart

Ambev SA ADR (ABEV)vsCompania Cervecerias Unidas SA ADR (CCU)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Compania Cervecerias Unidas SA ADR generates 3327% more annual revenue ($3.02T vs $88.24B). ABEV leads profitability with a 17.6% profit margin vs 4.0%. CCU appears more attractively valued with a PEG of 1.73. ABEV earns a higher WallStSmart Score of 55/100 (C).

ABEV

Buy

55

out of 100

Grade: C

Growth: 2.7Profit: 8.5Value: 7.3Quality: 5.8
Piotroski: 5/9Altman Z: 2.39

CCU

Hold

41

out of 100

Grade: D

Growth: 4.7Profit: 5.0Value: 7.3Quality: 7.0
Piotroski: 2/9Altman Z: 1.91
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ABEVSignificantly Overvalued (-136.4%)

Margin of Safety

-136.4%

Fair Value

$1.29

Current Price

$2.85

$1.56 premium

UndervaluedFair: $1.29Overvalued
CCUSignificantly Overvalued (-220.1%)

Margin of Safety

-220.1%

Fair Value

$4.62

Current Price

$11.01

$6.39 premium

UndervaluedFair: $4.62Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ABEV4 strengths · Avg: 8.5/10
Free Cash FlowQuality
$11.62B10/10

Generating 11.6B in free cash flow

P/E RatioValuation
14.6x8/10

Attractively priced relative to earnings

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.2%8/10

Strong operational efficiency at 28.2%

CCU3 strengths · Avg: 9.3/10
Price/BookValuation
0.0x10/10

Reasonable price relative to book value

Free Cash FlowQuality
$80.23B10/10

Generating 80.2B in free cash flow

P/E RatioValuation
16.3x8/10

Attractively priced relative to earnings

Areas to Watch

ABEV3 concerns · Avg: 2.7/10
PEG RatioValuation
2.024/10

Expensive relative to growth rate

Revenue GrowthGrowth
-8.2%2/10

Revenue declined 8.2%

EPS GrowthGrowth
-10.1%2/10

Earnings declined 10.1%

CCU4 concerns · Avg: 3.5/10
PEG RatioValuation
1.734/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.914/10

Grey zone — moderate risk

Profit MarginProfitability
4.0%3/10

4.0% margin — thin

Operating MarginProfitability
0.0%3/10

Operating margin of 0.0%

Comparative Analysis Report

WallStSmart Research

Bull Case : ABEV

The strongest argument for ABEV centers on Free Cash Flow, P/E Ratio, Price/Book. Profitability is solid with margins at 17.6% and operating margin at 28.2%.

Bull Case : CCU

The strongest argument for CCU centers on Price/Book, Free Cash Flow, P/E Ratio.

Bear Case : ABEV

The primary concerns for ABEV are PEG Ratio, Revenue Growth, EPS Growth.

Bear Case : CCU

The primary concerns for CCU are PEG Ratio, Altman Z-Score, Profit Margin. Thin 4.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

ABEV profiles as a declining stock while CCU is a value play — different risk/reward profiles.

ABEV carries more volatility with a beta of 0.28 — expect wider price swings.

ABEV is growing revenue faster at -8.2% — sustainability is the question.

CCU generates stronger free cash flow (80.2B), providing more financial flexibility.

Bottom Line

ABEV scores higher overall (55/100 vs 41/100), backed by strong 17.6% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Ambev SA ADR

CONSUMER DEFENSIVE · BEVERAGES - BREWERS · USA

Ambev SA produces, distributes and sells beer, draft beer, carbonated soft drinks (CSD), other non-alcoholic beverages, malt and food products in the Americas. The company is headquartered in So Paulo, Brazil.

Compania Cervecerias Unidas SA ADR

CONSUMER DEFENSIVE · BEVERAGES - BREWERS · USA

Compaa Cerveceras Unidas SA is a beverage company mainly in Chile, Argentina, Uruguay, Paraguay, Colombia and Bolivia. The company is headquartered in Santiago, Chile.

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